Buying a home is one of the most important steps in life for many people

If you want an apartment with a view of the park, a stylish café around the corner, just a short walk from the centre and a few steps to the club cinema, you have to pay even more. That’s why it is more than advisable not to underestimate the purchase of an apartment, and to arrange it comfortably, affordably and through a professional.

From law practice: the developer wanted to pay the purchase price for the apartment before obtaining the building permit

One of our clients wanted to buy a flat. He was in a big hurry to get the purchase contract. He just wanted to check if it contained any mistakes, but otherwise he was burning with eagerness to sign it. The apartment was not yet standing, but it was supposed to be beautiful, with a dreamy view and in a “trendy” area of Prague.

However, we pointed out to him that according to the contract, the price was to be paid right at the beginning, without any tangible guarantee that the apartment would be built at all(the building permit had not yet been issued for the entire project). At first, the client considered this an inconvenience, which we were throwing a stick under his feet and spoiling his joy. But then he realised that the risk resulting from what we had warned him about was quite high.

This story has a happy ending. The developer agreed to most of our client’s demands and relented. After all, the price was very high, so it was worth fighting for the client at least a little. The contract for the purchase of the apartment was concluded and today the apartment is almost finished and transferred to the ownership of our client.

We will look after the purchase of the apartment for you. From the comfort of your own home, you can make sure that the contract procedure is in order and your finances are safe.

What must the purchase contract contain?

When you buy a home, you need a written contract. This must contain at least the following information, which we have summarised for you in five simple points:

1.Parties to the contract – Clearly defining the seller and buyer is an absolute must. The seller must of course be the owner of the property registered in the Land Registry. Ideally, he should be identified not only by name and address, but also by his birth number.

2. Property – Most mistakes are made when specifying the property. It must be identified exactly as it is defined in the Land Registry. Otherwise, there is a risk that the Land Registry will reject the entire purchase and not transfer the property to the new owner. It is sufficient, for example, if the contract omits the ownership interest in the building or land.

3.Purchase price – Determining the amount of the purchase price is not the only thing that needs to be made clear. You should also specify exactly how the money will be transferred. And when. Usually escrow is used, in fact we always recommend this to clients. It is not advisable to pay the purchase price in advance (we wrote about this in the story at the beginning of this article). Negotiate the terms and any contractual penalties if something is not realised on time.

4. Taking over the property – The contract also states who will submit the application for registration in the Land Registry and by when, who will pay the fee, when exactly the apartment will be handed over or when the original owner will move out… Here too it is advisable to negotiate sanctions for failure to meet the agreed deadlines.

5. Signatures – In any case, have the signatures verified, just at the post office or Czech Point.

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